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                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q

[X]  QUARTERLY REPORT UNDER SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT
     OF 1934

                 For the quarterly period ended March 31, 2006
                                                -------------

                                       OR

[ ]  TRANSITION REPORT UNDER SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT
     OF 1934

          For the transition period from ____________ to_____________

                        Commission file number 0 - 24012

                               KODIAK ENERGY INC.
                      -------------------------------------
             (Exact name of registrant as specified in its charter)


             Delaware                                65-0967706
   -------------------------------                ----------------
   (State or other jurisdiction of                (I.R.S. Employer
    incorporation or organization)               Identification No.)


                     734 7th Avenue S.W. Calgary, AB T2P 3P8
            --------------------------------------------------------
               (Address of principal executive offices - Zip code)

                                 (403) 262-8044
                              --------------------
              (Registrant's telephone number, including area code)

Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15 (d) of the Securities Exchange Act during the past 12 months (or for
such shorter period that the registrant was required to file such reports), and
(2) has been subject to such filing requirements for the past 90 days.

     Yes        No  X
         ---       ---

Indicate by check mark whether the registrant is a shell company (as defined in
Rule 12b-2 of the Exchange Act).

     Yes        No  X
         ---       ---

APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE
PRECEDING FIVE YEARS:

Check whether the registrant filed all documents and reports required to be
filed by Sections 12, 13 or 15(d) of the Exchange Act of 1934 subsequent to the
distribution of securities under a plan confirmed by a court.

     Yes  X     No
         ---       ---

APPLICABLE ONLY TO CORPORATE ISSUERS

State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date: 36,813,784

Transitional Small Business Disclosure Format (Check one):  Yes      No X
                                                                ---    ---


<PAGE>


                               KODIAK ENGERY INC.
                                      INDEX




PART I.  FINANCIAL INFORMATION                                                 3

ITEM 1.  FINANCIAL STATEMENTS                                                  3

          Condensed Consolidated Balance Sheets as of
           March 31, 2006 (unaudited) and March 31, 2005                       3

          Condensed Consolidated Statements of Operations
          (unaudited) for the three months ended
          March 31, 2006 and 2005                                              4

          Condensed Consolidated Statements of Cash Flows
           (unaudited) for the three months ended
           March 31, 2006 and 2005                                             5

          Notes to Condensed Consolidated Financial Statements                 6

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION            10

ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISKS          12

ITEM 4.  CONTROLS AND PROCEDURES                                              12

PART II. OTHER INFORMATION                                                    12

ITEM 1.  LEGAL PROCEEDINGS                                                    12

ITEM 2.  CHANGES IN SECURITIES AND USE OF PROCEEDS                            12

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES                                      12

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K                                     12









                                        2
<PAGE>


                          PART I. FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS

KODIAK ENERGY, INC.
Consolidated Balance Sheet
(Development Stage Company)

--------------------------------------------------------------------------------
                                                      March 31,     December 31
                                                        2006           2005
                                                    (Unaudited)      (Audited)
--------------------------------------------------------------------------------
Assets

Current Assets:
  Cash  and cash equivalents                        $ 1,032,924     $   235,793
  Other Receivables                                      30,523           6,470
  Prepaid Expenses                                       80,426          57,850
  ------------------------------------------------------------------------------
                                                      1,143,873         300,113
Capital Assets:
  Oil & Gas Properties (Note 3)                         575,923         267,956
  Property & Equipment (Note 3)                          21,281          13,903
  Accumulated Amortization (Note 3)                      (1,748)         (1,075)
  ------------------------------------------------------------------------------
                                                        595,456         280,784
--------------------------------------------------------------------------------
                                                    $ 1,739,329     $   580,897
================================================================================

Liabilities and Shareholders' Deficiency

Current Liabilities:
  Accounts Payable                                  $   155,101     $   101,255
  Accrued Expenses                                        4,590           4,590
  ------------------------------------------------------------------------------
                                                        159,691         105,845

Shareholders' Deficiency

Share Capital:
  Authorized:
    100,000,000 Common Shares
    Par Value .001 Each

  Issued & Outstanding 36,813,784 (Note 4)               36,814             473
  Shares Issuable                                             -         800,000
  Shares Subscription                                  (272,294)              -
  Additional Paid in Capital                          2,229,409          25,750
  Deficit Accumulated During the
   Development Stage                                   (476,568)       (309,502)
  Other Comprehensive Income (Loss)                     (62,277)        (41,669)
  ------------------------------------------------------------------------------
                                                      1,579,638         475,052
--------------------------------------------------------------------------------

                                                    $ 1,739,329     $   580,897
================================================================================

             (See accompanying notes to the unaudited consolidated
                          interim financial statements)


                                        3
<PAGE>


KODIAK ENERGY, INC.
Consolidated Statement of Operations
(Development Stage Company)
(unaudited)


For the Three Months Ended March 31,
--------------------------------------------------------------------------------
                                                                     CUMULATIVE
                                                                       Since
                                                                     Inception
                                                                    Apr 7, 2004
                                                                      through
                                      2006            2005          Mar 31, 2006
--------------------------------------------------------------------------------

Revenue                           $         --    $         --    $         --

Expenses

  Administrative Expenses              175,881           7,128         459,308
--------------------------------------------------------------------------------

  Loss Before Other Expense           (175,881)         (7,128)       (459,308)

Other Income and Expenses
  Amortization of property
   & equipment                          (1,210)              -          (2,285)
  Loss from valuation adjustment             -               -         (25,000)
  Interest Income                       10,025               -          10,025
--------------------------------------------------------------------------------

Net Loss from operations          $   (167,066)   $     (7,128)   $   (476,568)


BASIC AND DILUTED LOSS
 PER COMMON SHARE                 $      (0.01)   $      (0.02)
--------------------------------------------------------------------------------

Weighted average number
 of shares outstanding              25,157,004         473,558







             (See accompanying notes to the unaudited consolidated
                          interim financial statements)


                                       4
<PAGE>


KODIAK ENERGY, INC.
Consolidated Statements of Cash Flows
(Development Stage Company)
(unaudited)



For the Three Months Ended March 31,
--------------------------------------------------------------------------------
                                                                     Inception
                                                                    Apr 7, 2004
                                                                      through
                                             2006        2005       Mar 31, 2006
--------------------------------------------------------------------------------


Operating Activities:
     Net Loss From Operations           $  (167,066)  $    (7,128)  $  (476,568)

Adjustments to reconcile net loss to
 Net cash used in operating activities:
  Amortization of Property & Equipment        1,210             -         2,285
  Contributions To Capital                        -             -           900
  Foreign Currency Translation              103,946             -        62,600
Changes in Non-Cash Working Capital
Components:
  Change In Other Receivables               (24,053)            -        30,523
  Change In Prepaids                        (22,576)            -       (80,426)
  Change In Accounts Payable                 53,846             -       155,100
  Change In Accrued Liabilities                   -         7,128         4,590
  Loss From Valuation Adjustment                  -             -        25,000

--------------------------------------------------------------------------------

Net Cash Used in Operating Activities       (54,693)            -      (337,042)

Investment Activities:
  Additions to Capital Assets              (315,882)            -      (597,740)
--------------------------------------------------------------------------------

Net Cash Used in Investing Activities      (315,882)            -      (597,740)

Financing Activities:
  Shares issuable                                 -             -       800,000
  Proceeds on shares issued               1,167,706             -     1,167,706
--------------------------------------------------------------------------------

Net Cash Used in Financing Activities     1,167,706             -     1,967,706

  Net Cash Increase                         797,131             -     1,032,924

  Cash beginning of Year                    235,793             -             -
--------------------------------------------------------------------------------

  Cash and cash equivalents
   end of Year                          $ 1,032,924   $         -   $ 1,032,924
--------------------------------------------------------------------------------

Cash and cash equivalents consist of
Cash                                                                    332,924
Share investments                                                       700,000
                                                                    ------------
                                                                    $ 1,032,924


   (See accompanying notes to the unaudited consolidated financial statements)


                                       5
<PAGE>


                               KODIAK ENERGY, INC.
        NOTES TO THE UNAUDITED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
                                 March 31, 2006


1.   ORGANIZATION AND BASIS OF PRESENTATION


The interim information contained herein with respect to the period ended March
31, 2005 and the period ended March 31, 2006 and the period from April 7, 2004
(inception)until March 31, 2006 has not been audited but was prepared in
conformity with generally accepted accounting principles for interim financial
information and instructions for 10QSB and item 310(b) of Regulation S-B.
Accordingly, the condensed financial statements do not include all information
and footnotes required by generally accepted accounting principles for financial
statements. Included are ordinary adjustments, which in the opinion of
management are necessary for a fair presentation of the financial information
for the three month period ended March 31, 2006 and since inception. The results
are not necessarily indicative of results expected to be expected for the full
year. The interim financial statements should be read in conjunction with
December 31, 2005 audited annual financial statements.

For the period from inception to March 31, 2006, the Company has an accumulated
deficit of $367,568 and has been dependent on equity financing, loans from
shareholders and the exchange of stock for services to meet its obligations and
sustain operations. The Company is incorporated under the laws of the state of
Delaware and is in the development stage and its efforts have been principally
devoted to capital raising, organizational infrastructure development,
acquisition and drilling of oil and gas properties for the purposes of future
extraction of the resources.

On January 17, 2005 the company affected a reverse split of 100 outstanding
shares for one share. This report has been prepared showing post split shares

The accompanying consolidated financial statements for the quarter ended March
31, 2006 include the company and its wholly owned subsidiaries (collectively,
the "Company", "we", "us" or "our"). All significant inter-company transactions
have been eliminated on consolidation

Going Concern
-------------

The company will need working capital for its future planned activity, which
raises substantial doubt about its ability to continue as a going concern.
Continuation of the Company as a going concern is dependent upon obtaining
sufficient working capital to be successful in this effort. The management of
the Company has developed a strategy, which it believes will accomplish this
objective, through additional loans from officers, and equity funding, which
will enable the Company to operate for the coming year.


2.   SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES


Income Taxes
------------

The Company utilizes the liability method of accounting for income taxes. Under
the liability method deferred tax assets and liabilities are determined based on
the differences between financial reporting and the tax bases of the assets and
liabilities and are measured using the enacted tax rates and laws that will be
in effect, when the differences are expected to reverse. An allowance against
deferred tax assets is recognized, when it is more likely than not, that such
tax benefits will not be realized.

Loss Per Common Share
---------------------

Basic EPS is computed by dividing (loss) income by the weighted average number
of common shares outstanding for the period. Diluted EPS is computed giving
effect to all dilutive potential common shares that were outstanding during the


                                       6
<PAGE>


period. Dilutive potential common shares consist of incremental shares issuable
upon exercise of stock options and warrants, contingent stock, conversion of
debentures and preferred stock outstanding. As of March 31, 2006 there were no
potentially dilutive instruments issued or outstanding.

Financial Instruments
---------------------

The Company's financial instruments, including cash, short-term investments, and
accounts payable and accrued liabilities are carried at values that approximate
their fair values due to their relatively short maturity period.

Use of Estimates in the Preparation of Financial Statements
-----------------------------------------------------------

The preparation of financial statements in conformity with accounting principles
generally accepted in the U.S. requires management to make certain estimates and
assumptions that affect the amounts reported in the financial statements and
accompanying notes. Although these estimates are based on the knowledge of
current events and actions the Company may undertake in the future, they may
ultimately differ from actual results. Included in these estimates are
assumptions about allowances for valuation of deferred tax assets.

Furniture and Equipment
-----------------------

Furniture and equipment is recorded at cost. Depreciation of assets is provided
by use of the straight-line method over the estimated useful lives of the
related assets of three to five years. Expenditures for replacements, renewals,
and betterments are capitalized. Maintenance and repairs are charged to
operations as incurred.


Oil and Gas Properties
----------------------

The Company follows the successful efforts method of accounting pursuant to FAS
19 (as amended) "Financial Accounting and Reporting by oil and gas producing
companies" for costs of oil and gas properties. Under this method, acquisition
costs of oil and gas properties and costs of drilling and equipping development
wells are capitalized. Costs of drilling exploratory wells are initially
capitalized and, if subsequently determined to be unsuccessful, are charges to
expenses. All other exploration costs, including geological and geophysical
costs and carrying and maintenance cost are charged to exploration expenses when
incurred. Producing properties, non-producing and unproven properties are
assessed annually, or more frequently as economic events indicated, for
potential impairment. This consists of comparing the carrying value of the asset
with the asset's expected future undiscounted cash flows without interest costs.
Estimates of expected future cash flows represent management's best estimate
based on reasonable and supportable assumptions, proven oil and gas properties
are reviewed for impairment on a field-by field basis. In addition, management
will evaluate the carrying value of non-producing properties. No impairment
losses were recognized during the quarter ended March 31, 2006.

Capitalized costs of proved oil and gas properties are depleted using the
unit-of-production method using proved oil & gas reserves when the property is
placed in production.

Some of the Company's oil and gas activities are conducted jointly with others.
The accounts reflect only the Company's proportionate interest in such
activities

Asset Retirement and Obligations
--------------------------------

The Company recognizes the fair value of liabilities for asset retirement
obligations in the period in which they incur and/or in which a reasonable
estimate of such costs can be made. The asset retirement obligation is recorded
as a liability with a corresponding increase to the carrying amount of the
related long-lived asset. Subsequently, the asset retirement cost is allocated
to expenses using a systematic and rational method and is adjusted to reflect
period-to-period changes in the liability.


                                       7
<PAGE>


Foreign Currency Translation
----------------------------

The functional currency for the Company's foreign operations is the Canadian
dollar. The translation from the applicable foreign currencies to U.S. dollars
is performed for balance sheet accounts using current exchange rates in effect
at the balance sheet date and for revenue and expense accounts using a weighted
average exchange rate during the period. The resulting translation adjustments
are recorded as a component of other comprehensive income. Gains or losses
resulting from foreign currency transactions are included in other
income/expenses.

3. Capital Assets

                                          Accumulated   Net Book     Net Book
                                         depreciation    Value        Value
                                Cost          And       March 31,   December 31,
                                           depletion      2006         2005

Property & Equipment          $  21,281    $  1,748     $ 19,533     $ 12,828

Oil and Gas Properties        $ 575,923       $   -     $575,923     $267,956
                              --------------------------------------------------

Total                         $ 597,204    $  1,748     $595,456     $280,784
                              --------------------------------------------------

4. Share Capital

Authorized:
     100,000,000 common shares at $0.001 par value
                                                                     Additional
                                         Number of                    Paid in
                                           Shares        Value        Capital
                                         ---------------------------------------
Balance at December 31, 2004
March 31, 2005 and
December 31, 2005                           473,558   $       473   $    25,750
Private Placement                        16,000,000   $    16,000   $   784,000
Private Placement                           933,334   $       933   $ 1,399,061
Private Placement                         1,000,000   $     1,000   $    39,000
2:1 Stock split                          18,406,892   $    18,408   $   (18,408)
                                         ---------------------------------------
                                         36,813,784   $    36,814   $ 2,229,409

As of January 13, 2006 an additional 16,000,000 shares were issued pursuant to
two private placements that closed December 22, 2005 (15 million shares,
$300,000) and December 30, 2005 (1 million shares, $500,000) respectively. All
funds due from these private placements were received by December 31, 2005.

As of January 14, 2006, 933,334 shares were issued pursuant to a private
placement. As of March 31, 2006 181,259 shares have been issued for which funds
have not been received recorded in share subscriptions on the balance sheet at
$272,294.

On February 20, 2006 we split our stock 2:1 effecting a stock dividend to
our existing shareholders. All shareholders of record on February 14, 2006
received 1 additional share for every share they owned.


                                       8
<PAGE>


5.   Related Party Transactions.

Officers and Directors of the company purchased 10,200,000 shares of the common
capital stock of the company on December 22, 2005 at $0.02 per share for
$204,000. These shares were not issued by the Transfer Agent until January 13,
2006 and are reflected in shareholders' deficiency as part of the caption
"Shares Issuable".






















                                       9
<PAGE>


ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

All statements contained herein that are not historical facts, including, but
not limited to, statements regarding the Company's current business strategy,
the Company's projected sources and uses of cash, and the Company's plans for
future development and operations, are based upon current expectations. These
statements are forward-looking in nature and involve a number of risks and
uncertainties. Actual results may differ materially. Among the factors that
could cause actual results to differ materially are the following: the
availability of sufficient capital to finance the Company's business plans on
terms satisfactory to the Company; competitive factors; changes in labor,
equipment and capital costs; changes in regulations affecting the Company's
business; future acquisitions or strategic partnerships; general business and
economic conditions; and factors described from time to time in the reports
filed by the Company with the Securities and Exchange Commission. The Company
cautions readers not to place undue reliance on any such forward-looking
statements, which statements are made pursuant to the Private Litigation Reform
Act of 1995 and, as a result, are pertinent only as of the date made.

PLAN OF OPERATION

The Company had no revenue for the quarters ended March 31, 2006 or 2005. In the
quarter ended March 31, 2006 the company drilled two wells on its Manyberries
property.

In the next twelve months Kodiak via its wholly owned subsidiaries plans to
progressively and methodically develop its asset base.

Kodiak Petroleum, ULC
Kodiak drilled two wells in March of 2006 on the Manyberries property. Kodiak
has negotiated an agreement whereby the company will earn 100% of the project
after drilling 3 shallow gas wells. To date 2 wells have been drilled. These
wells will be tested in the second quarter of 2006 shortly after spring break up
is over. We expect to drill the third well in the second or third quarter of
2006. In the next twelve months we plan to drill more shall gas wells and
complete a 3D seismic program to prove the existence of deeper oil plays.

In conjunction with our joint venture partner, we are planning a 2D seismic
program at the Province project in southeast Alberta. We also plan to drill 1 to
2 locations. We plan to drill in the second quarter of 2006 and tie in to gas
lines in the 3rd quarter of 2006. Based on drilling results, similar land
acquisitions in the area will be discussed with our joint venture partner. We
have allocated $211,000 for this project in the 2nd quarter of 2006.


                                       10
<PAGE>


Kodiak Petroleum (Montana), Ltd.
Our partner is the operator of the Montana shallow gas project. Our partner has
identified 3 drilling locations. They are in the process of obtaining licenses,
getting leases permitted and sourcing equipment. They expect drilling to
commence in the second quarter of 2006. Subsequent to the drilling, any
successful wells will be tied into existing facilities in the third quarter of
2006. We have allocated approximately $200,000 for this project for the 2nd
quarter of 2006.

Kodiak Petroleum (Utah), Ltd.
Kodiak has signed a letter of intent with Reibanc USA, Inc for 22% of a heavy
oil project in the Uinta Basin in Utah. Kodiak will spend $2,000,000 to cover
the costs of preliminary engineering, geological work, reports and studies on
the Utah assets. This work should take 18 to 24 months to complete.


Financial Condition and Changes in Financial Condition

The Company had no revenues for the quarter ended March 31, 2006.

Net Loss for the quarter ended March 31, 2006 totaled $58,066. The expenses
relate to consulting, office, general and administration, legal and accounting.

Net loss for the quarter ended March 31, 2005 totaled $7,128. The expenses
relate to office, general and administrative, legal and consulting.

Liquidity and Capital Resources:

Since inception to March 31, 2006, we have funded our operations from the sale
of securities and loans from shareholders.

As of March 31, 2006, our assets totaled $2,011,623, which consisted primarily
of, cash, oil and gas rights and land. Our total liabilities were $159,691,
which were primarily accounts payable. We had stockholders' equity of
$1,851,932.

On January 20, 2006 Kodiak Energy raised, $1,400,000 through the sale of 933,334
common shares at a price of $1.50 per share. Kodiak Energy used the funds for
drilling 2 wells at the Manyberries property, and general corporate purposes. As
at March 31, 2006 the working capital was 1,032,924.

RAISING CAPITAL

The Company currently lacks the capital resources to fully implement and carry
out its business plan as described herein. . At some point in the future we
expect to raise additional capital, either through debt, equity or any
combination thereof. In the event that additional capital is raised at some time
in the future, existing shareholders will experience dilution of their interest
in the Company


                                       11
<PAGE>


ITEM 3 CONTROLS AND PROCEDURES

Mr. Mark Hlady, the Company's current, CEO and CFO has concluded, based on his
evaluation as of a date within 90 days prior to the filing of this report, that
the Company's disclosure controls and procedures are effective to ensure that
information required to be disclosed by the Company in the reports filed or
submitted by it under the Securities Exchange Act of 1934, as amended, is
recorded, processed, summarized and reported as specified in the Securities and
Exchange Commission's rules and forms, and include controls and procedures
designed to ensure that information required to be disclosed by the Company in
such reports is accumulated and communicated to the Company's management, as
appropriate, to allow timely decisions regarding required disclosure.


                           PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

None.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

On January 20, 2006, pursuant to subscription agreements, we closed a private
placement to two investors of an aggregate of 933,334 common shares at a price
of US$1.50 per share, for total proceeds of US$1,400,000. The common shares were
issued pursuant to Regulation S ("Regulation S") under the Securities Act of
1933, as amended (the "1933 Act").

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

None.

Item 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

None.

Item 5. OTHER INFORMATION

Subsequent to the March 31, 2006 our subsidiary, Kodiak Petroleum, ULC, drilled
to wells in Manyberries Alberta. Results from the two wells are currently being
analysed



                                       12
<PAGE>


ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K

EXHIBITS

   31.1 - Certification of President Pursuant to Section 302 of the
          Sarbanes-Oxley Act of 2002

   31.2 - Certification of Chief Financial Officer to Section 302 of the
          Sarbanes-Oxley Act of 2002

   32   - Certification of President and Chief Financial Officer Pursuant to
          Section 906 of the Sarbanes-Oxley Act of 2002

REPORTS ON FORM 8-K

On January 23, 2006 we filed an 8K under item 1.01 Entry into a Material
Definitive Agreement and item 3.02 Unregistered Sale of Equity Securities and
item 5.02 Departure of Directors or Principal Officers.

On February 21, 2006 we filed an 8K under item 4 Changes in the Registrants
Certifying Accountant.

On March 3, 2006 we filed an 8K/A under item 4 Changes in the Registrants
Certifying Accountant amending the 8K filed on February 21, 2006.



                                   SIGNATURES
                                   ----------

Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.


                                              KODIAK ENERGY, INC.
                                               (Registrant)


Dated: May 22, 2006                           By: /s/  Mark Hlady
                                                 -------------------
                                                 Mark Hlady
                                                 CEO, CFO and  Chairman









                                       13

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